• The cost of global payment card fraud grew by 19% last year to reach $14
billion.
• The cost of U.S. payment card fraud grew by 29% to $7.1 billion.
• In the rest of the world, card fraud grew by 11% to $6.8 billion.
Record-breaking data breaches at major retailers (most notoriously, Target) in
2013 added about $500 million to the total fraud cost in the U.S.
(Source
businessinsider.com)

Global Information Security budgets up 51% over last year and nearly doubled
from 2010 The good news is that security budgets are rising broadly.
The bad news? So are successful attacks. Perhaps that’s why security budgets
averaging $4.3 million this year represent a gain of 51% over the previous year
– and that figure is nearly double the $2.2 million spent in 2010 – all
according to our most recent Global Information Security Survey, conducted by
PricewaterhouseCoopers. The 11th annual Global Information Security Survey of
9,600 executives also found that the number of organizations reporting losses of
greater than $10 million per incident is up 75 percent from just two years ago.
The costs of these breaches also are rising, with data breaches up 9 percent in
2013 from 2012. (Source
csoonline.com)

From retail palace to zombie mall: How efficiency killed the department store
The once-vibrant shopping mall has one foot in the grave these days. About 20
percent of the 2,000 largest U.S. malls were failing in 2008, and by 2012, only
1,513 remained in operation. Current numbers predict more than 200 existing big
malls will collapse in the next 10 years. Often, the mall's anchors, the big
chain department stores, are the first to go. It seems that the 2008 recession
and dominance of the Internet—where you can buy anything and everything with a
few clicks—have taken their toll on brick-and-mortar behemoths like JCPenney,
Sears, and even Macy's. As the Computer Age thrusts us into the future, would-be
mall rats are spending all their time on Facebook, and the breath-taking range
of products, once so meticulously displayed for our delight, is being crammed
into our PCs, tablets, and smartphones. (Source
retailcustomerexperience.com)

Retail sales slow- rose only 0.1 percent to $434.6 billion in April
Signaling a disappointing start to the second quarter and potentially weakening
the economic outlook that had been buoyed earlier this month by the strong April
employment report. Specialty stores posted a seasonally adjusted 1.2 percent
gain in sales to $21 billion last month, while department store sales rose 1.8
percent to $14.2 billion. General merchandise stores, a category that includes
department stores, edged up 0.2 percent to $55.4 billion in April. (Source
wwd.com)

Fighting fakes: ahead of U.S. IPO, Alibaba takes a tougher line
Security teams
at the big three- Alibaba, Amazon, and eBay Some security experts say
the Chinese group's stricter standards on piracy and fake goods may even surpass
those of Amazon.com Inc and eBay Inc. In its IPO filing last week, Alibaba Group
Holding Ltd said the perception that its sites are cluttered with counterfeit
items could hurt its ability to win over customers, investors and U.S. retail
partners. Almost a quarter of Alibaba's 20,000-plus workforce, plus volunteers,
form an IP protection team, and the company spends over 100 million yuan ($16
million) a year fighting counterfeit goods. In the past year, it removed more
than 100 million hyperlinks to products suspected of IP infringement. eBay
spends as much as $20 million each year on "buyer protection programs", such as
reimbursing buyers for fake goods they bought on eBay's market. The San Jose,
California-based company also set up a "Trust and Safety" department with some
4,000 employees, including more than 200 who focus just on combating
infringement, and 70 who work exclusively with law enforcement. As of 2012,
Amazon had more than 100 employees "in risk investigation, including counterfeit
listings," according to a California court filing that year. The company
estimated it blocks 5,900 sellers a year suspected of "infringing conduct", and
"cancelled 4 million seller listings" over the course of a year.
(Source
yahoo.com)

Apple Upgrading EasyPay, Changing Hardware
The new EasyPay devices will support the chip-and-pin (EMV) technology that
major credit card companies will begin using in the U.S. next year to avoid
fraud and security breaches, along with NFC features, enhanced barcode and mag-stripe
reading, and a physical PIN entry pad. the VeriFone device supports NFC
contactless transactions, a technology that many consumers have dreamed of
having in a future iPhone model. Now, having NFC in an EasyPay raises the
possibility that one day a customer with an iPhone could make a purchase at the
Apple store by simply touching it to an EasyPay device. (Source
ifoapplestore.com)

New RFID Lab will focus on the store of the futureRetailers are still embracing RFID for the improved inventory
accuracy that the technology provides, but many first adopters are beginning to
look beyond inventory use cases. Use cases like loss prevention, consumer
engagement and multichannel store checkout options will be a major focus of the
new RFID Lab when the facility moves from the University of Arkansas to Auburn
University next month. Justin Patton, the longtime director of the RFID Research
Center, which will go by the name of RFID Lab when it moves, says that many
retailers are inquiring about what their stores will look like in 10 years when
item level RFID is commonplace. With that in mind, part of the new RFID Lab will
be devoted to a “95 Percent Store” concept, emblematic of how a retail store
will function with inventory accuracy levels at a constant 95 percent or higher.
As the new RFID Lab is built at an old supermarket near the campus of Auburn
University, the “95 Percent Store” store concept will emulate what processes
might look like between back room and front room inventory, what processes
employees will follow, and how those processes will impact checkout, display,
promotions and other retail strategies in the future. (Source
rfid24-7.com)

Why an NFC iPhone Could be Big for Enterprise Security - Access control
While some NFC-based features have proven to be pure novelty, one use of NFC
could be particularly valuable to enterprises: NFC-based access control. This
idea is not a new one; for example, HID Global, a maker of physical-access cards
and readers, already offers NFC-based systems. One iPhone feature in particular
could give it an enterprise edge over other popular devices: The Touch ID
fingerprint reader. When Touch ID was released last fall along with the iPhone
5S. Touch ID has become a favorite iPhone feature, because it's simple to use,
works well and is very reliable. Combining NFC access control with Touch ID
authentication on the iPhone 6, and other iOS devices, would add an extra layer
of security to access control systems, both physical and digital. And it could
go a long way toward validating NFC for the enterprise, as well as the mass
market. (Source cio.com)

Scott Sanford, Director of Investigations & Training for Barnes &
Noble, discusses where he thinks the loss prevention industry is
going and how we're making progress in the fight against Organized
Retail Crime. A subject matter expert on the topic, Scott has a
unique gift and ability at resolving ORC cases and has been
extremely involved in the national effort for many years. Learn how
you can be better prepared to combat the North American epidemic
that is ORC.

LP Executives – 2014 LP Video Challenge

Have a video the industry could learn from?
Your training video, your investigative video, a case video – any video you
think your colleagues would enjoy or learn from. Or maybe one that's just
downright funny or interesting. Send it to us and be entered into the new 2014
LP Video Challenge.

Don't miss out on this great opportunity to win!1st place - $2,000
2nd place - $1,500
3rd place - $1,000

Solution Providers, have a video or
commercial you want to publish?
Contact us.

Stuart
Levine, CEO of The Zellman Group, speaking at NRF LP Conference Stuart will be speaking with Johan Gerber, Group Head of Global Fraud for
MasterCard International. The session is EMV Impact and an Omni channel Approach
to Reducing Fraud. In this session you will gain a greater understanding of the
2015 shift in liability for in-store credit card transactions and see the impact
that these changes had on documented fraud in other regions of the world. You
will be exposed to the latest technology to protect your company from e-commerce
fraud and find out what you can do to get your company ready for change.
Don't miss this session on Wednesday June 11, 11:30-12:30pm in room 304-305.

59% of U.S. seriously concerned about other people obtaining and using their
credit or debit cards - Nearly 40% would stop somewhere else Credit
and debit card fraud tops Americans' security concerns in 2014, against a recent
backdrop of major retail and banking security breaches, according to the 2014
Unisys Security Index released today by Unisys Corporation in partnership with
Lieberman Research Group. Reflective of widespread concerns over financial
security, nearly 60 percent of Americans surveyed say that a security breach
involving their personal or credit card data would make them less likely to do
business at a bank or store that they commonly use. Nearly 40 percent said they
would not be likely to change how they shop or do business following such a
breach. (Source
wsj.com)

"Fraud is not a person - it is a dynamic grouping of statistics
that deviate from the norm."
Stuart B. Levine, CFI, CFCI
CEO, The Zellman Group & Zellman Fraudnet

Counterfeit-wine dealer should get 14-year prison term, U.S. says biggest & most
successful wine counterfeiter in the world Rudy Kurniawan, a dealer
once “the biggest and most successful wine counterfeiter in the world” sold at
least $20.7 million (U.S.) of purportedly rare French wines he created in his
home kitchen, federal prosecutors in New York said Monday in a memo to the
sentencing judge. Kurniawan, who purchased luxury cars, a Beverly Hills mansion
and fine art with the proceeds of his crimes, was convicted in December of two
separate frauds, including one to defraud Fine Art Capital, a lender to
individuals and art dealers, assistant U.S. attorneys Jason Hernandez and Joseph
Facciponti wrote. The FBI found thousands of labels from the most expensive
wines in the world in his home during a search after his arrest. Kurniawan, who
has been in custody since he was charged in 2012, has asked the court in his own
filing to sentence him to the time he has been held. In addition to serving 11
to 14 years, prosecutors said, he should forfeit $20.7 million and any remaining
assets the U.S. can identify. Sentencing is May 29th. (Source
thestar.com)

Jury convicts trio in warehouse theft capers in Las Vegas
Three men who stole controlled substances and designer goods from warehouses and
delivery vans in the Las Vegas area were convicted Monday by a federal jury of
robbery. Diaz and Simon broke into warehouses, storage facilities, and delivery
vans from October 2012 through April 2013. They stole designer handbags and
controlled substances and sold the goods for their own financial gain. The
defendants broke into warehouses by cutting through doors, and broke into
delivery vans and other vehicles left unsupervised in commercial parking lots.
In April 2013, the defendants conspired to kidnap and rob a delivery van driver
with a firearm to obtain control and possession of the van containing controlled
substances. Each face 20+ years in prison. (Source
8newsnow.com)

Rite
Aid Pharmacy employee shot and killed in East Lansing, MI; suspect in custody
The man suspected in two fatal shootings Monday was known to be involved in
drunken arguments that lasted for hours. The night before police say the man
shot and killed an employee at a Lansing Rite Aid and then a second man in East
Lansing, he’d been involved in a shouting match with a neighbor. Shortly after
11 a.m. Monday, police said the man walked into the Rite Aid drugstore near
Frandor Shopping Center and shot a 35-year-old male employee.
(Source
wlns.com)

Burglars Smash California Apple Storefront With Car - They're Back!
After a long pause of major crime, burglars used a passenger car to smash the
front door and security grating of the Fourth Street (N. Calif.) Apple store
overnight, and steal several products from the display tables. The suspects
escaped after the 2:52 a.m. incident and police believe the car had been stolen.
The vehicle was left about 20 feet inside the store with skid marks on the stone
floor behind it. Several wood tables were bumped out of the way by the Pontiac
sedan. The glass doors were broken by the adjacent taller glass panels were
undamaged. Starting in 2011 criminals across the country discovered they could
smash the front door of Apple stores, enter and rip display products from their
power and shoplifting connections before police could respond. In some cases the
burglars were armed and confronted security guards. In one case the burglars
left behind their vehicle’s license plate are were later arrested. In another,
an armed security guard shot and killed an armed burglar. The U.S. incidents
faded away in late 2012 after Apple installed security gratings at about 30
street-facing stores, including at Fourth Street. But the Berkeley store was hit
in July 2012 by a door-hammer attack after the security grate installation, and
the high-profile, stone-faced Kurfürstendamm (Berlin) retail store was targeted
in December 2013, seven months after it opened. (Source
ifoapplestore.com)

UK’s Heathrow Airport Employees jailed for theft of Cargo
The men were arrested after police at Heathrow began an investigation into the
theft of cargo items passing through the airport destined for overseas
locations, including the Middle East and Afghanistan. As a result of the
operation, Embery and his supervisor, McKeown - who worked at the airport - were
arrested on suspicion of theft on 17 December 2013 and a significant quantity of
high value electrical items and other property was recovered. Embery was
subsequently charged with five counts of theft by employee and two counts of
possession of criminal property. McKeown was charged with two counts of theft by
employee and one count of possessing criminal property. (Source
brentfordtw8.com)

Granada Hills, CA Man Guilty of Credit Card Thefts; 38,000 credit card numbers
A 44-year-old Granada Hills man pleaded guilty last week to stealing credit card
information by using a credit card skimming device at gas stations in Harris
County, Tex., Arkadi Minassian was reportedly part of a Los Angeles-based
criminal ring which distributed highly sophisticated credit card skimming
devices to various cities, including Houston, Las Vegas and Mojave, Calif.
Minassian wirelessly uploaded credit card numbers to his laptop computer from
skimming devices at two Valero gas station on March 29, 2011. He was caught near
the gas station. Aleksandr Goukasian, 53, of Glendale, was sentenced in December
2012 to 20 years in prison for his role in the theft ring. Prosecutors in that
case said the crew amassed 38,000 credit or debit card numbers and stole more
than $280,000. (Source
postperiodical.com)

Former
NAPA Store Employee Charged with $70,000 theft in Abbotsford, WI A
51-year-old Dorchester, WI man is charged with theft after he's accused of
falsifying return transactions. Investigators say Kirk Kalepp defrauded the
Abbotsford NAPA Autoparts store out nearly $70,000 during a six year span. An
investigation began in December 2013 after a manager notice an unusual amount of
returns from Kaleep. Surveillance camera were installed an allegedly caught
Kaleep taking money from a cash register. Kalepp admitted to taking the money
cited medical bills and credit card debit. (Source
wsaw.com)

Atlanta Police release video of Church van Smash and Grab
It's been almost
two weeks since three men allegedly drove a stolen church van into the front of
a southwest Atlanta store and helped themselves to merchandise. In a matter of
seconds, the three suspects swiped 30 shirts, 10 pairs of pants and five pairs
of shoes before leaving in the van through smashed glass, Atlanta police said.
Today, police released surveillance video of the smash-and-grab burglary to help
identify the suspects. Shortly after 3 a.m. April 25, police were called to the
City G.E.A.R. store at 3030 Headland Road and arrived to find the front of the
store smashed, according to an incident report. Surveillance cameras in the
store and a nearby grocery store captured the crimes, which involved a white van
with “International Ministries 2000” on the side. (Source
ajc.com)

Smash-and-grab at a Chesapeake, VA Jewelry Store
A smash-and-grab at a Chesapeake jewelry store is under investigation. Police
were called to Long Jewelers in the Woodford Square Shopping Center around 12:10
a.m. Tuesday. Police officers arrived to find one of the front windows had been
smashed. Once inside, the burglar(s) smashed several jewelry cases. No value has
yet been determined. (Source
wvec.com)

Tucson, AZ Police search for Safeway robbery suspect; stealing a cart full of
liquor The Pima County Sheriff's Department asks for the public's help
in identifying a strong arm robbery suspect who targeted a Safeway store. Two
suspects reportedly threw a garbage can and attempted to punch a Safeway
employee who confronted them as they tried to leave the store without paying for
a cart full of liquor on May 7, sheriff's officials confirmed. Deputies
responded to the store and arrested 20-year-old James Alvarez on charges of
aggravated robbery but seek another suspect who fled the scene.
(Source
tucsonnewsnow.com)

Las
Vegas: Baby formula on the black market Drugs and sex aren’t the only
commodities found on the black market in Las Vegas. Baby formula brings big
bucks. Thieves are ripping off stores such as Walmart, Von’s, Smith’s and
Walgreens – boosting as much baby formula as they can. Some steal to feed their
drug habit. Others do it to make ends meet. Few think they are doing anything
wrong. “I just think of it like Robin Hood... because these parents need it, and
they can't afford formula,” one thief said in a YouTube video. Organized retail
theft investigator Darin Fredrickson says each heist costs honest consumers.
“Some of these retailers are losing, easily, in excess of a million dollars just
in formula alone,” he said. (Source
8newsnow.com)

ORC
suspect just won't quit hitting Walmart stores in Arizona - busted 14 times and
served time - busted again A Superior man who already served prison
time for 14 Walmart thefts has been arrested again after allegedly stealing from
the San Tan Valley Walmart, the Pinal County Sheriff's Office said. Michael
Lopez, 41, was booked into jail on six counts of burglary and six counts of
organized retail theft. On April 25, an asset protection agent with Walmart told
deputies she saw Lopez drive into the parking lot in a white pickup truck. The
agent said she noticed the vehicle was the same white pickup truck he has
previously used to commit a number of thefts from Walmart, PCSO said. Just three
days earlier, $554 worth of merchandise was stolen from the store and never
recovered. The agent said Lopez filled a shopping cart with $743 worth of store
products and appeared to be getting ready to flee without paying. The Walmart
asset protection agent reported Lopez has 14 previous thefts from local area
Walmarts, including stores in Mesa and Apache Junction. (Source
kpho.com)
Suspects accused of stealing 22 cell phones from Walmart in Winston-Salem, N.C.
Winston-Salem police are looking for two suspects accused of breaking into a
display case at Walmart and stealing 22 cell phones valued at over $13,000.
(Source
myfox8.com)

Printer ink theft ring in Milton, GA; Staples employee says they were hit for
hundreds of cartridges Local stores have been the victims of a group
of people who are stealing printer ink cartridges by the hundreds. Milton Police
reported they checked on the Staples store on Ga. 9 April 28 to advise them to
be on the lookout for the thieves. While there, store employees told police they
had a similar incident occur a few days prior, resulting in $2,200 worth of
printer ink stolen. They said three men entered the store April 22. One man,
with a driver's license for Vernan Hutchinson, of New York, has been in several
times. They said he goes to the customer service counter or cashier and tries to
pay with a fraudulent check or to return items without a receipt. When employees
refuse to serve him, he starts to create a loud fuss. While this is happening,
his two companions go to the back of the store and steal the ink. Other stores
in the Atlanta region have also reported being hit by similar scams.
(Source
northfulton.com)

Do service and repair requests get missed or take too long to resolve?
Have trouble tracking when service contracts are set to expire at a multitude of
locations?
LP Software is here to help!

SRMS (Service Request Management System) helps track service and repair requests
throughout the organization. SRMS will allow personnel to submit tickets for
service and repair requests at their location. These tickets will then be
tracked and reported on during every step of its lifecycle. Further, SRMS will
help manage related contract information—imagine having contracts available at
your fingertips, along with other details such as classification, department,
and expiration date.

SRMS can also be used to track vendor performance and related service costs.
Examples of tickets that can be submitted within the application include broken
equipment (CCTV cameras, elevators, EAS, computers, etc.) and application
support (new user, password reset, system down, etc.). SRMS can also be expanded
to handle IT requests or other service-related uses.

With advanced SmartAlert integration, SRMS will bring a new level of
accountability and efficiency to the organization.

Oscar Martinez was named District
Loss Prevention Manager for National Stores.Vincent Vita was named Loss
Prevention Manager - Supply Chain for Amazon.Eduardo Alamo Jr. was named Loss
Prevention Supervisor for Burlington Stores, Inc.

What Leadership is Not
If you hear someone telling you that leadership is all about these three
qualities, run the other way! Here are a few myths about what is involved in
being a leader. While they are great qualities to have, they are not building a
leadership foundation. (It's
not Einstein)

The Best Leaders are Humble Leaders
In a recent study, humility is one of four critical leadership factors to help
create a welcome and inclusive environment for employees from various
demographic backgrounds. When employees observe leaders behaving selflessly,
they feel part of the team. Use these tips to embrace this leadership style.
(Mistakes
are teachable moments)

Perception becomes reality slowly on a macro level and it's
difficult to change it if it's incorrect or doesn't portray the truth. It's the
same reason law enforcement separates witnesses to ensure clarity and truth. The
group mind becomes influenced by opinion and agendas and distorts the true
reality. One can only rely on daily vigilance based on doing what's right to
hopefully impact the individuals one works with on a daily basis to carry the
experience forward and be witness to what is right.